5/14/2012

The Best Yielding Large Capitalized Consumer Stocks

Large Capitalized Consumer Goods Dividend Stocks With Highest Yield
Researched By Dividend Yield - Stock,
Capital, Investment. It’s very important to know what yields are traded within a sector or
industry in order to compare risks and premiums. I made a screen of the best
yielding large capitalized consumer goods stocks. 54 companies from the sector
have a market capitalization over USD 10 billion and 49 of them pay dividends. As
result, 20 stocks with a yield over 3 percent remained.

Below the results are three high yields of which Reynolds American (RAI)
is the highest yielding stock, followed by Philips Electronics (PHG) and Altria (MO).
The cigarettes industry has five representatives within the best yielding consumer
stocks and covers the top dividend positions.

Altria Group (NYSE:MO) has a market capitalization of $64.69 billion. The company employs 9,900 people, generates revenues of $23,800.00 million and has a net income of $3,393.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $6,321.00 million. Because of these figures, the EBITDA margin is 26.56 percent (operating margin 25.50 percent and the net profit margin finally 14.26 percent).

Financial Analysis:
The total debt representing 37.04 percent of the company’s assets and the total debt in relation to the equity amounts to 371.98 percent. Due to the financial situation, a return on equity of 76.13 percent was realized. Twelve trailing months earnings per share reached a value of $1.67. Last fiscal year, the company paid $1.58 in form of dividends to shareholders.

The Procter & Gamble Co. (NYSE:PG) has a market capitalization of $174.49 billion. The company employs 129,000 people, generates revenues of $82,559.00 million and has a net income of $11,797.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $18,656.00 million. Because of these figures, the EBITDA margin is 22.60 percent (operating margin 19.16 percent and the net profit margin finally 14.29 percent).

Financial Analysis:
The total debt representing 23.14 percent of the company’s assets and the total debt in relation to the equity amounts to 47.33 percent. Due to the financial situation, a return on equity of 18.32 percent was realized. Twelve trailing months earnings per share reached a value of $3.21. Last fiscal year, the company paid $1.97 in form of dividends to shareholders.

H.J. Heinz Company (NYSE:HNZ) has a market capitalization of $17.54 billion. The company employs 34,800 people, generates revenues of $10,706.59 million and has a net income of $1,005.95 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $1,932.42 million. Because of these figures, the EBITDA margin is 18.05 percent (operating margin 15.39 percent and the net profit margin finally 9.40 percent).

Financial Analysis:
The total debt representing 37.72 percent of the company’s assets and the total debt in relation to the equity amounts to 148.38 percent. Due to the financial situation, a return on equity of 39.51 percent was realized. Twelve trailing months earnings per share reached a value of $3.00. Last fiscal year, the company paid $1.80 in form of dividends to shareholders.

Long-Term Stock History Chart Of H.J. Heinz Company (Click to enlarge)

Long-Term Dividends History of H.J. Heinz Company (HNZ) (Click to enlarge)

Long-Term Dividend Yield History of H.J. Heinz Company (NYSE: HNZ) (Click to enlarge)

PepsiCo (NYSE:PEP) has a market capitalization of $104.47 billion. The company employs 297,000 people, generates revenues of $66,504.00 million and has a net income of $6,462.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $12,242.00 million. Because of these figures, the EBITDA margin is 18.41 percent (operating margin 14.48 percent and the net profit margin finally 9.72 percent).

Financial Analysis:
The total debt representing 36.73 percent of the company’s assets and the total debt in relation to the equity amounts to 130.04 percent. Due to the financial situation, a return on equity of 30.66 percent was realized. Twelve trailing months earnings per share reached a value of $4.03. Last fiscal year, the company paid $2.02 in form of dividends to shareholders.

Take a closer look at the full table of the best yielding large capitalized consumer stocks. The average price to earnings
ratio (P/E ratio) amounts to 16.74 and forward P/E ratio is 14.82. The dividend
yield has a value of 3.87 percent. Price to book ratio is 5.14 and price to
sales ratio 1.75. The operating margin amounts to 15.82 percent.

I am long PM, MO, LO, BTI, MAT,
KMB, UL, PG, K, PEP, GIS. I receive no compensation to write about these
specific stocks, sector or theme. I don't plan to increase or decrease
positions or obligations within the next 72 hours.

For the other stocks: I
have no positions in any stocks mentioned, and no plans to initiate any
positions within the next 72 hours. I receive no compensation to write about
any specific stock, sector or theme.

Dividend Yield Passive Income Portfolio Holdings

What is a dividend? A dividend is a payment by the company to its shareholders. Normally, a stock pays 4 times a year a quarter dividend in order to participate investors at the company’s success. The amount of dividends in relation to the earnings of a company is called payout ratio. The figure measures the part of the earned money which is paid to the shareholders. A payout ratio of up to 50 percent (half of it's earnings) is a good figure. Sometimes it could be possible that companies can pay 90 percent of its net income due to its business model. Those businesses don’t need much money for growing.

The dividend amount in relation to the price that an investor pays is called the dividend yield. The value measures the return of the investor. A dividend yield of 5 percent (High-Yield) means that the investor receives 5 percent of his investment in cash - pretax within a year. This value is estimated for the full year dividends. Most of the highest yielding dividend stocks have only a big quarter dividend of more than one percent because of it's unsustainable dividends. The capital market expects a dividend dividend cut by the company.

An important date for investors is the ex-dividend date. This is the day on which the new investor doesn’t receive any dividend payments. He must wait 3 month for the next quarter dividend.

By Dividend Yield - Stock, Capital, Investment

What is a Stock? Stocks (also called stock or share) are part of the capital stock of a company. It represents the original equity paid into the company. The capital stock could be traded at well-known stock markets like the New York Stock Exchange (NYSE) or NASDAQ.Every stock or share represents a partition ownership to the company. A stock owner has the ability to receive dividends and has a voting right for the annual general meeting (AGM). The stock owner participates on the business opportunities and risks.

There are two main stock types available: common stock and preferred stock. A common stock gives the shareowner the ability to vote at the annual general meeting and to receive dividends. A preferred stock has no voting right but for compensation, a higher claim for earnings and assets.

By Dividend Yield - Stock, Capital, Investment

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